Momentus Secures $2.75 Million from Private Placement

Momentus Inc. (NASDAQ: MNTS), a U.S. space infrastructure company, has announced a private placement agreement with a U.S. institutional investor for the sale of 5 million shares of common stock at $0.55 per share. The transaction will generate approximately $2.75 million in gross proceeds before deducting placement agent commissions and related expenses.

As part of the agreement, Momentus will also issue Class A and Class B Common Warrants to the investor. The Class A Common Warrants will allow for the purchase of up to 10 million shares of common stock at $0.575 per share, becoming exercisable six months after issuance and expiring five years and six months from that date. The Class B Common Warrants, also exercisable at $0.575, will cover 5 million shares and expire 18 months after becoming active.

The offering is expected to close around September 17, 2024, contingent upon standard closing conditions.

Momentus plans to use the net proceeds from the placement for general corporate purposes. These may include payments to its independent accounting firm, tax advisors, repayment of debt, capital expenditures, and general working capital, with restrictions against using the funds for stock redemptions or activities that would violate FCPA or OFAC regulations.

A.G.P./Alliance Global Partners is the sole placement agent facilitating the transaction.